ABSTRACT
A demand schedule shows the quantity that will be demanded at every price level. We can relate this to our own lives pretty easily. The law of demand can be further understood with the help of certain concepts, such as a demand schedule, a demand curve, and a demand function. In contrast to derived demand, direct demand refers to demand for goods and services meant for final consumption. The demand function can be constructed using information from the demand schedule or the demand curve. Implicit demand functions simply state a general relationship between the quantities demanded and the factors affecting demand. Explicit demand functions provide precise mathematical relationships between the quantity demanded and the variables impacting demand. The market demand is simply the sum of the individual demands. While there are numerous types of elasticity, the price elasticity of demand is probably one of the most useful for airline managers.
